CBRE research: Phoenix ranks 6th in US/Canada tech talent growth rate regardless of market size (Scottsdale: apartments, rental)

[stevek64]

Originally Posted by azriverfan.

It's rare that you are going to find someone say "Yeah, i don't give a s4##$ where I move as long as it's cheaper" People are much too sophisticated to think that way. Maybe that was a Baby Boomers (my generation) way of thinking but Gen X and Millennials are different.

Originally Posted by FirebirdCamaro1220

The last paragraph hits the nail on the head. And it's a reason I still consider CA to be "worth it". Nowhere else in the country replicates CA's climate or geography. Not everything is about saving money or keeping up with the Joneses. Some things just can't be replicated

Highly Skilled Workers are Flocking to Affordable Markets with a Growing Tech Presence, According to CBRE's Annual "Scoring Tech Talent" Report

You can have your opinion on the matter but the data/reality shows exactly what you don't think is happening:

"San Francisco remains the nation’s leading tech market, but the competition for talent is getting tougher as more highly skilled tech workers—especially millennials—are flocking to cities where the cost of living is lower and tech jobs are plentiful, according to CBRE Group, Inc.’s annual Research report, “Scoring Tech Talent,” which ranks 50 U.S. and Canadian markets according to their ability to attract and grow tech talent."

"In their quest for highly skilled talent and for lower cost of doing business, both new and expanding companies are establishing footprints in these more affordable markets—including Nashville, Charlotte, Tampa, Seattle and Phoenix—leading to a rise in demand for office space and a decrease in office vacancy."

I've seen lots of data on millennials that say many of them are much more thrifty, practical, and looking for value/not free spenders like other past generations. And save much more for retirement and other goals as this data suggests:

17 Signs Millennials Are Better With Their Money Than You

https://www.theguardian.com/money/us...est-generation

So indeed CRBE's data folds right into why many educated in tech millennials want to move to cheaper markets such as Phoenix and away from more expensive markets in places like silicon valley/CA as the data has uncovered.

As for CA firebirdcamero, which I know you tout all the time, something is seriously wrong in my view when this kind of thing is happening:


http://www.mercurynews.com/business/...t-middle-class

"Many displaced tenants spend half a year or more searching for new apartments, she said. Of the approximately 4,900 households with incomes between $50,000 and $160,000 that the agency serves, about 370 are living in their vehicles, mostly in Mountain View and Palo Alto."

San Francisco Tech Firms See Workers Flee From $4,500 Rents - Bloomberg


Bob Allen renting vans to tech workers in the Bay Area - Business Insider


"To take advantage of it, Bob Allen, an entreprenurial 68-year-old, has started targeting Bay Area residents who don't want to pay for expensive apartments to rent the five vans that he outfitted with beds and kitchenettes."


"Some of these tech kids want to save money," he says. "They feel like they're in a bubble and they feel like the bubble is going to burst and they want to be able to go back to wherever they came from with a little money in their pockets, so they're starting to look for alternative ways of living."

Hey, live in a van in your companies parking lot because people can't afford rent in silicon valley and are afraid of the bubble in real estate there/simply can't afford to pay for a tiny closet to rent. Talk about quality of life! Living the CA dream, right? This is beyond pathetic people. Why people keep playing up CA/silicon valley with what's going on there is beyond me given the reality. I think there's a distorted image going on here in the minds of some that don't equal close to the reality of the situation.

Some talk about political issues/problems in Phoenix yet the above pathetic situations exist right in "perfect" CA. And there's much more if you care to research like the serious homeless problem in san francisco. "Poop" maps anyone?

http://mashable.com/2014/11/21/publi.../#_3WnlEDAREqS

http://abc7news.com/news/data-shows-...in-us/1407123/

"Data shows San Francisco has second highest homeless population in United States"

"Renters outnumber homeowners in San Francisco. According to Zillow, the average renter in San Francisco spends 41 percent of their income on an apartment, lives paycheck-to-paycheck, and saves nothing for an emergency."


Some on these forums say we should emulate "wonderful" CA/its politics right her in the valley but I see a failure to take the other side and realize the above situation was created by "wonderful" CA/its politics. No wonder the educated millennials as the data/trend suggests are smart enough to want to live in more affordable cities like Phoenix that doesn't have this widespread kind of nonsense going on.

In the end, yes, some people for whatever reasons will want to live in ultra expensive san fran/silicon valley who can afford crazy rents, some will live in a van in the parking lot of where they work, in a closet size apartment, etc. But the bigger takeaway/trend from this study is many don't want to live there/spend all that money on rent/ultra high cost of living/live in a van in a parking lot so many educated millennials in the tech field are looking at markets like Phoenix and moving here.

I posted the url from my OP again above and I think you'll find the data interesting and very positive for Phoenix if you give it a detailed read.

[yukon]

They desire cheaper rates but desire the same amenities and culture. So they can get that by going to Denver or Austin.

Not any more.

One of the companies that recently announced their move to PHX said they also considered Denver and decided against it as it's too expensive. Cost of living in Denver is now sky high. And Colorado Springs is being affected as well, as those working in the south part of the Denver metro move down to get cheaper prices. Except it's causing CS rental prices to rise as well.

PHX is still fairly affordable for a renter who has a reasonable salary and reasonable debt.

[FirebirdCamaro1220]

Originally Posted by yukon

They desire cheaper rates but desire the same amenities and culture. So they can get that by going to Denver or Austin.

Not any more.

One of the companies that recently announced their move to PHX said they also considered Denver and decided against it as it's too expensive. Cost of living in Denver is now sky high. And Colorado Springs is being affected as well, as those working in the south part of the Denver metro move down to get cheaper prices. Except it's causing CS rental prices to rise as well.

PHX is still fairly affordable for a renter who has a reasonable salary and reasonable debt.

I never understood the high COL in Denver, to me, it's worthless due to cold snowy winters (and falls and springs) and no palm trees

[JGMotorsport64]

Originally Posted by FirebirdCamaro1220

I never understood the high COL in Denver, to me, it's worthless due to cold snowy winters (and falls and springs) and no palm trees

Right now? An incredible economy and booming growth in various sectors, couple with an enormous airport and isolation. And pot...

[sh9730]

I work from home as a national account exec providing emergency preparedness programs for mid-large companies. Almost all of my busiest clients are growing tech companies (UBER, Intuit, Salesforce, others) opening new offices all over the country - many in the cities listed here - including Phoenix. I get to keep a pretty good handle on it because they need my products in every office they have.

They still don't tend to HQ them in these cities yet - but some of the satellite offices are pretty good sized. I think UBER has 400 or so people in Phoenix, and of course GODADDY and others have large presence.

Just read Phoenix Business Journal and almost daily there is a new tech company adding a presence here.

[FirebirdCamaro1220]

Originally Posted by JGMotorsport64

Right now? An incredible economy and booming growth in various sectors, couple with an enormous airport and isolation. And pot...

I guess different people value different things. I refuse to live anywhere colder than here, or humid, or gets snow. So that limits the amount of places I'd want to live, in this country at least

[stevek64]

Originally Posted by sh9730

I work from home as a national account exec providing emergency preparedness programs for mid-large companies. Almost all of my busiest clients are growing tech companies (UBER, Intuit, Salesforce, others) opening new offices all over the country - many in the cities listed here - including Phoenix. I get to keep a pretty good handle on it because they need my products in every office they have.

They still don't tend to HQ them in these cities yet - but some of the satellite offices are pretty good sized. I think UBER has 400 or so people in Phoenix, and of course GODADDY and others have large presence.

Just read Phoenix Business Journal and almost daily there is a new tech company adding a presence here.

Good news. Plus many people in IT jobs don't need to work in a centralized building. They work at home. I have several friends here in Phoenix who work in IT and do just that. And many rarely need to visit the "office".
And I'm guessing for many types of tech jobs, the need for large buildings will dwindle even more in the future as it's a cheaper way to do business in the long run by having more employees working at home.

[yukon]

Originally Posted by FirebirdCamaro1220

I never understood the high COL in Denver, to me, it's worthless due to cold snowy winters (and falls and springs) and no palm trees

New housing construction and existing housing supplies are lagging behind population growth. Has been for about 2 years now. Sadly, income has not yet caught up to COL for many industries.

[sexxxcblac]

providing emergency preparedness programs for mid-large companies. Almost all of my busiest clients are growing tech companies (UBER, Intuit, Salesforce, others) opening new offices all over the country - many in the cities listed here - including Phoenix. I get to keep a pretty good handle on it because they need my products in every office they have.

They still don't tend to HQ them in these cities yet - but some of the satellite offices are pretty good sized. I think UBER has 400 or so people in Phoenix, and of course GODADDY and others have large presence.

Just read Phoenix Business Journal and almost daily there is a new tech company adding a presence here.[/quote]

I check PBJ daily and you're right. Everyday there's a article about the relocating tech companies, startups etc.
After a while you learn no matter what good news that comes , there is always a negativity coming to tear it down.
A positive person has a vault to reach in and pull out, a negative person has a vault to pull out negativity as well. That's why a positive person will always lose a negative conversation because the negative arsenal in a positive person's vault will always be depleted, and vice versa for the negative person.

[Java Jolt]

Originally Posted by azriverfan.

Why? They don't have spouses and children to support so their expenses are low. They can afford to live well on their paycheck if they are only supporting themselves so why wouldn't they live in a large city with several amenities and a progressive culture?

But I agree with Steve and the article as well. People are seeking cheaper options. However, they want the best of both worlds. They desire cheaper rates but desire the same amenities and culture. So they can get that by going to Denver or Austin. They see Phoenix as being too conservative and "hick"

If I'm a rich guy with a company in California. I'm going to want a similar environmental socially and culturally. If I can get that for less money, why would I settle on Phoenix and accept a completely different environment. It makes no sense.

It's rare that you are going to find someone say "Yeah, i don't give a s4##$ where I move as long as it's cheaper" People are much too sophisticated to think that way. Maybe that was a Baby Boomers (my generation) way of thinking but Gen X and Millennials are different.

I usually agree with you but I think you're making way too many generalizations on this topic.

Millennials who are lucky enough to land a decent job after college still might not be making a very high salary because they are just starting out in the workforce.

So what sense does it make to live where it's super expensive? Many of them end up spending a large chunk of their income on rent and don't have much remaining for themselves.

Some of them end up moving back home with their parents if they can't afford to live on their own.

Phoenix is certainly no New York or San Francisco but it's not a hick town and I haven't heard anyone say it's too conservative or unsophisticated. I'm fairly liberal and I don't think that way either. Where do you come up with such a belief?